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Oil Field Development
Oil Field Development
By,
Gauri Sankar Bora
Life Cycle of an oil field
• Crude oil is formed from organic matter that has been buried, for example at
the bottom of the ocean, and encased in clay, sand and crumbled rock.
• Different strata are thereby formed. When these strata are placed under high
pressure and heat, crude oil and natural gas form.
• The mixture of crude oil, natural gas and saltwater very slowly migrates
through porous layers of rock. This migration takes place over thousands of
years. Where impenetrable layers prevent the mixture from getting any
further, it accumulates in the porous sandstone and limestone layers in the
bedrock.
Gaining access: An oil company is given permission to explore
Exploration drilling is carried out in areas where oil may be present. First an
appraisal well is drilled, Samples are analysed continually during the drilling.
If oil or gas are discovered the company drills fringe wells to determine the
extent of the reservoir.
Data from the drilling is analysed and calculations made of the volume of oil
that the accumulation contains and whether it is commercially worthwhile for
production.
It may take between four and ten years from the time oil is discovered until a
field begins production – sometimes longer.
Once a company has proven an oil discovery it may define the oil found as
contingent resources
Production and development plan
It takes around a year to develop an onshore oil field and around
3–7 years for offshore facilities, depending on the size of the field.
Production and sales
The company can usually maintain this level for a period before
production naturally starts to decline. This is called the field's
natural decline which continues until the field is closed down due
to low production.
Production and sales
When production tails off, one measure can be to drill injection
wells and inject water or gas into the reservoir to raise the pressure,
or to install pumping equipment.
The oil is transported from the oil field to shipping ports where
the oil is stored in oil cisterns until it is collected by a customer
Closedown of the oil field